Economy · 8 d ago
UK chancellor hunts for Budget money without raising income tax
Budget headroom, at the low end
11 billion pounds, down from about 24
Economists think the chancellor's budget buffer may have fallen from about 24 billion pounds to as low as 11 billion pounds in six months.
Options on the table
- A higher tax on banks
- Gambling machine tax doubled to 40%
- Marketplaces collect sellers' VAT
- Savings on working-age welfare
Options include a higher bank tax, doubling the tax on gambling machines, making online marketplaces collect VAT and welfare savings.
Most the three tax measures raise
3.5 billion pounds a year
The three tax measures together would raise at most about 3.5 billion pounds a year, small next to what the chancellor may need.
